Questions from Financial Accounting

Q: The following information summarizes data about the minority, active investments of

The following information summarizes data about the minority, active investments of Stebbins Corporation. Company R owns a building with 10 years of remaining life and with a fair value exceeding it...

Q: CAR Corporation manufactures computers in the United States. It owns 75

CAR Corporation manufactures computers in the United States. It owns 75% of the voting stock of Charles Electronics, 80% of the voting stock of Alexandre du France Software Systems (in France), and 90...

Q: Vogel Company is a subsidiary of Joyce Company. Joyce Company accounts

Vogel Company is a subsidiary of Joyce Company. Joyce Company accounts for its investment in Vogel Company using the equity method on its single- company books. Present journal entries for the followi...

Q: Alpha owns 100% of Omega and consolidates Omega in an entity

Alpha owns 100% of Omega and consolidates Omega in an entity called Alpha/Omega. Beginning in 2013, Alpha sold merchandise to Omega at a price 50% larger than Alpha’s costs. Omega so...

Q: On May 1, 2013, Homer acquired the assets and agreed

On May 1, 2013, Homer acquired the assets and agreed to take on and pay off the liabilities of Tonga in exchange for 10,000 of Homer’s common shares. Homer accounted for the acquisition of the net ass...

Q: Exhibit 14.11 presents a spreadsheet that we use to compare

Exhibit 14.11 presents a spreadsheet that we use to compare the effects of using the equity method with using consolidated financial statements. The Web site for this book contains an Excel spreadshee...

Q: On September 30, 2014, Homing Corporation issued 500,000

On September 30, 2014, Homing Corporation issued 500,000 shares of $0.10 par value common stock. The market price of the shares on this date was $30 per share. What journal entry did Homing record to...

Q: Carter, Inc., issued 100,000 shares of $1

Carter, Inc., issued 100,000 shares of $1 par value common stock on December 1, 2013. On that date, the market price of the shares was $18 per share. What journal entry did Carter record to reflect th...

Q: Give journal entries, if required, for the following transactions pertaining

Give journal entries, if required, for the following transactions pertaining to Grable: a. Grable declares the regular quarterly dividend of $1.50 per share on its $100 par value preferred stock. Ther...

Q: Prepare journal entries for the following transactions of Watt Corporation. Watt

Prepare journal entries for the following transactions of Watt Corporation. Watt has 20,000 shares of $15 par value common stock outstanding on January 1, 2013. The balance in the Additional Paid-In C...